FX.co ★ NZD/USD candlestick analysis for August 9, 2011

In a 4-hour graph the NZD/USD formed a Three Falling Methods candlestick combination indicating downside movement confirmed further.
This combination was formed after a sharp decline from 0.8846. At the same time any rollback was used by the bears in order to increase their influence.
Downside movement is supported by the fact that the pair broke the lower limit of the downtrend. Besides, break of the support level 0.8114 means that this point of view is correct. Its break targeted the pair to 0.8014 with further target at 0.7975.
It is worth mentioning that stop loss should be placed slightly above 0.8345 as its break will enable the pair to reach 0.8465.